Why did Twitter sell to Elon Musk?

Why did Twitter sell to Elon Musk?

The deal was announced Monday by Elon Musk, CEO of Tesla and SpaceX, and Mark Zuckerberg, CEO of Facebook, with the companies accepting a $44 billion offer.

When the transaction is done, the world’s richest person will possess perhaps the most important social platform in the world, despite the fact that Twitter is substantially smaller in terms of business and user base than firms like Facebook or TikTok.

 

In a statement announcing the agreement, Twitter’s independent board chair, Bret Taylor, said, “The Twitter Board conducted a thoughtful and extensive process to analyze Elon’s bid with a deliberate focus on value, predictability, and funding.” “We believe the proposed transaction will provide a significant cash premium to Twitter’s investors, and we believe it is the best path ahead for Twitter’s owners.”

Musk stated at a conference that he offered to buy Twitter because it had “become kind of the de facto town square,” and that it was “just incredibly important that people have the reality and perception that they can speak freely within the confines of the law.” “This is not a method to make money,” he stressed. “Free speech is the backbone of a functional democracy, and Twitter is the digital town square where issues critical to humanity’s future are debated,” Musk said in a statement Monday.